ENA Driving for $600m Size

ENA Driving for $600m Size

September 19, 2012

Panamanian toll-road operator Empresa Nacional de Autopista (ENA) is targeting a $600m size for a planned 2028 bond issued through the ENA Norte Trust, according to Moody’s, who assigns a Baa3 rating. The government entity is scheduled to meet bond investors through tomorrow. The Republic of Panama is supporting the transaction by putting approximately $100m of equity into the unit, operating the Corredor Norte road in Panama City. The bonds are secured by toll revenue from the currently operational portion of Corredor Norte. The notes have no mandatory amortization and a 100% cash sweep, and Moody's notes it projects full amortization of the notes prior to maturity. Additional bondholder protections include a debt reserve fund that is equal to 6 months of interest payments cash funded at closing, a 12-months forward looking major maintenance reserve, and a capex reserve. ENA was formed to acquire and manage companies that have road concessions from the government. In August last year ENA raised $395m through a 2025 bond yielding 5.75% and a 2019 priced to yield 5.25%. The deal was rated BBB/BBB minus. HSBC and Global Bank, managers of the previous sale, are coordinating meetings.

Panamanian toll-road operator Empresa Nacional de Autopista (ENA) is targeting a $600m size for a planned 2028 bond issued through the ENA Norte Trust, according to Moody’s, who assigns a Baa3 rating. The government entity is scheduled to meet bond investors through tomorrow. The Republic of Panama is supporting the transaction by putting approximately $100m of equity into the unit, operating the Corredor Norte road in Panama City. The bonds are secured by toll revenue from the currently operati